Globalization carries profound implications for tax systems, yet most tax systems, including that of the UK, still retain many features more suited to closed economies. The purpose of this chapter is to assess how tax policy should reflect the changing international economic environment. Institutional barriers to the movement of goods, services, capital, and (to a lesser extent) labour have fallen dramatically since the Meade Report (Meade, 1978) was published. So have the costs of moving both real activity and taxable profits between tax jurisdictions. These changes mean that capital and taxable profits in particular are more mobile between jurisdictions than they used to be. Our focus is on the taxation of capital and our main conclusions may be summarized as follows.
Publication Information & Recommended Citation
Hines, James R., Jr. "International Capital Taxation." R. Griffith and P. B. Sørensen, co-authors. In Dimensions of Tax Design: The Mirrlees Review, edited by T. J. Besley et al., 914-96. Oxford: Oxford Univ. Press, 2010.